Point raises $115 million
Point Finance, a fintech company and home equity platform that provides homeowners access to equity financing in exchange for a fractional share of the future value of their homes, has secured $115 million in funding. Point’s Series C fundraise was led by WestCap, with participation from other existing investors Andreessen Horowitz, Ribbit Capital, Redwood Trust, Atalaya Capital Management, and DAG Ventures. New investors include Deer Park Road Management, The Palisades Group, and Alpaca VC.
In 2019, Prudential Financial was the lead investor in Point’s $22 million Series B round.
Founded in 2014, Point is in the space of Hometap, which is also backed by an insurance company. Using Point, homeowners can unlock up to $500k with no monthly payments, no income requirements, and no need for perfect credit. In exchange for this access, homeowners share a piece of their future home price appreciation with investors.
The startup is also preparing to launch a new product to help future homebuyers secure a down payment.
“Most Americans have the majority of their wealth tied up in their home, limiting their ability to cover unforeseen expenses or diversify wealth. Point has created an industry-first solution that empowers homeowners to utilize their home equity to eliminate debt, overcome periods of financial hardship and unlock new opportunities for wealth without taking the risk of traditional term loans.” – Laurence Tosi, founder and managing partner at WestCap.
“The strength and depth of the team that Eddie Lim has brought together at Point and its innovative approach to providing financing to homeowners has been apparent. It’s clear that Point is building a home equity platform that will make homeownership more valuable for all existing and prospective homeowners. After leading both their Seed round and Series A round, and investing in their Series B, we’re excited to continue to invest in Point and help Eddie and the team build an industry-defining business.” – Alex Rampell, general partner at Andreessen Horowitz.
